Orthofix (Nasdaq: OFIX) shares ticked up today on second-quarter results that topped the consensus forecast on Wall Street.
Shares of OFIX rose by nearly 14% to $16.62 apiece in midday trading today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — ticked up 1.1%.
Lewisville, Texas-based Orthofix — one of the world’s largest orthopedic device companies — reported losses of $33.4 million. That equals 88¢ per share on sales of $198.6 million for the three months ended June 30, 2024.
Orthofix recorded a $6 million bottom-line gain on a sales increase of 6.2%.
Adjusted to exclude one-time items, earnings per share came in at 5¢. That landed 24¢ ahead of expectations on Wall Street. Sales also topped projections as experts forecast $195.2 million in revenue.
The company reported 12% growth year-over-year in both its Bone Growth Therapies and U.S. Spine Fixation businesses. It attributed the latter’s improvement to distribution expansion and further penetration in existing accounts. Global Orthopedics grew by 5% as well, the company said.
“We delivered another strong quarter driven by successful execution of our key growth priorities,” said Massimo Calafiore, president and CEO. “Highlights in the quarter included notable revenue growth across each of our business segments where our performance was led primarily by strength in our U.S. markets… Based on continued positive momentum, the strength of our differentiated and expanding product portfolio, which continues to win share, and our confidence in sustainable growth trends, we are raising our full-year net sales and adjusted EBITDA guidance.
“We also are on track to achieve positive free cash flow for the second half of this year, much earlier than we originally anticipated.”
Orthofix now projects net sales to range between $795 million and $800 million, marking growth between 6.7% and 7.4% year-over-year. That represents a $5 million rise from the previous range of $790 million to $795 million.
